Topic: Trends & Forecasts
Wednesday, January 15, 2020
Industry executives offer their outlook on the new year and new decade in Hotel Management’s SHEDDING LIGHT e-book. These leaders—hotel franchisors, financiers, vendors, technology experts and more—answer five questions that provide some clarity on what the hotel industry can expect going forward. Download now!
With hospitality innovators continuing to redefine what hotels can be, here are a few things to look for on the horizon.
CBRE predicts that 89.3 percent of new hotel rooms in 2020 will open in one of the 60 major markets covered by its Hotel Horizons reports.
The two companies’ forecast began at 2.3 percent in January, and has since been downgraded to 2 percent, 1.6 percent and now 0.8 percent.
A new report from the firm cuts its outlook from positive to stable as RevPAR growth continues to slow—a trend that is likely to continue.
Although current fundamentals appear solid, concerns about the future of the U.S. economy might make hoteliers nervous.
The groups have dropped their forecast for revenue per available room growth from 2 to 1.6 percent in 2019 and from 1.9 to 1.1 percent in 2020.
The Highland Group’s second-quarter extended-stay report attributed the increase in occupancy to slowing supply growth and rising demand.
Despite Q1 coming in “below expectations,” PwC predicts the industry will remain on stable footing through 2020.
Interest rates, consumer confidence and secondary markets are on CBRE analysts’ minds this year.